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We study optimal incentive contracts for workers who are reciprocal to management attention. When neither worker's effort nor manager's attention can be contracted, a double moral-hazard problem arises, implying that reciprocal workers should be given weak financial incentives. In a...
Persistent link: https://www.econbiz.de/10010325934
In many organizations, reward decisions depend on subjective performance evaluations. However, evaluating an employee …'s performance is often difficult. In this paper, we develop a model in which the employee is uncertain about his own performance and … about the manager's ability to assess him. The manager gives an employee a performance appraisal with a view of affecting …
Persistent link: https://www.econbiz.de/10010326329
This paper studies the impact of diversity in cognitive ability among members of a team on their performance. We … that team performance as measured in terms of sales, profits and profits per share first increases, and then decreases …
Persistent link: https://www.econbiz.de/10010326380
We study how workers in production teams are affected by the temporary absence and replacement of a coworker. When a substitute coworker is absent, the remaining coworkers produce less output per working time. They compensate for this by increasing their working time at the expense of the (less...
Persistent link: https://www.econbiz.de/10013356508
What is the effect of dispersed levels of cognitive ability of members of a (business) team on their team's performance … complex decision making. The key result of the experiment is that the performance of business teams first increases and then …
Persistent link: https://www.econbiz.de/10010377189
This paper offers a new theory of discrimination in the workplace. We consider a manager who has to assign two tasks to two employees. The manager has superior information about the employees' abilities. We show that besides an equilibrium where the manager does not discriminate, equilibria...
Persistent link: https://www.econbiz.de/10010377199
We develop a model of manager-employee relationships where employees care more for their manager when they are more convinced that their manager cares for them. Managers can signal their altruistic feelings towards their employees in two ways: by offering a generous wage and by giving attention....
Persistent link: https://www.econbiz.de/10012723256
This paper offers a new theory of discrimination in the workplace. We consider a manager who has to assign two tasks to two employees. The manager has superior information about the employees' abilities. We show that besides an equilibrium where the manager does not discriminate, equilibria...
Persistent link: https://www.econbiz.de/10014037675
This paper studies the impact of diversity in cognitive ability among members of a team on their performance. We … that team performance as measured in terms of sales, profits and profits per share first increases, and then decreases …
Persistent link: https://www.econbiz.de/10014039713
This paper studies how morale in teams can break down. It interprets high morale as team members working together productively, either because of a sense of fairness or because of implicit incentives from repeated interactions. Team members learn that lay-offs will occur at a fixed future date,...
Persistent link: https://www.econbiz.de/10014046772